Liverpool have reportedly entered talks with Real Madrid over a loan deal for midfielder Esteban Granero.

The 24-year-old has been on Liverpool's radar for some time and agent Teofilo Lazaro earlier this month claimed that a move to Anfield could happen at the end of the season.

Granero's management company later dismissed Lazaro's comments and stated that their client would be staying at the Bernabeu until the end of the season.

But according to the Daily Mirror, talks between the two clubs have taken place.

It is thought Real Madrid would prefer to offload Granero on a permanent deal, but with interest from Arsenal and Malaga cooling in recent weeks, it appears that only the Merseysiders are showing interest in the Spaniard.

And according to Tuesday's report, that may well open the door for a loan move to Liverpool to go through before the winter transfer window closes next week.